Core Viewpoint - Sesame Workshop is accusing United Parks and Resorts of not fulfilling their financial obligations related to fees and royalties for the operation of Sesame Place parks and attractions [1] Company Summary - Sesame Workshop claims that United Parks and Resorts has failed to pay the required fees and royalties as per their partnership agreement [1]

UNITED STATES SECURITIES AND EXCHANGE COMMISSION Washington, D.C. 20549 FORM 10-K ☒ ANNUAL REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934 For the fiscal year ended December 31, 2025 or ☐ TRANSITION REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934 For the transition period from to Commission File Number: 001-35883 United Parks & Resorts Inc. (Exact name of registrant as specified in its charter) Delaware 27-1220297 (State or other jurisdiction of in ...

Core Insights - United Parks & Resorts reported a decline in fiscal 2025 results, with Q4 revenue of $373.5 million, down 2.8% year-over-year, and full-year revenue of $1.66 billion, down 3.6% from fiscal 2024 [2][6][7] - Attendance decreased by approximately 378,000 guests, totaling 21.2 million, a decline of 1.8% [6][7] - The company acknowledged underperformance in cost management and plans to implement approximately $50 million in gross cost reductions across various expense categories [5][10] Financial Performance - Operating expenses fell by $1.8 million (1.0%), while selling, general, and administrative expenses rose by $8.7 million (17.4%) [1] - Net income for Q4 was $15.1 million, down from $27.9 million in the prior-year quarter, with adjusted EBITDA reported at $115.2 million [1] - Full-year net income was $168.4 million, with adjusted EBITDA at $605.1 million [7] Attendance and Spending Trends - Attendance dropped by about 126,000 guests (2.6%) year-over-year, primarily due to lower international visitation [2] - Despite the decline in attendance, in-park per capita spending increased by 2.1%, achieving record levels during the quarter [1][6] Strategic Initiatives for 2026 - The company is focusing on new attractions, expanded events, and a revamped marketing strategy to drive attendance and guest spending, with planned capital expenditures of approximately $225 million [4][10] - Management plans to address cost execution issues and anticipates known expense headwinds to flatten or reduce year-over-year expense growth [5][10] Capital Allocation and Liquidity - The company repurchased 6.7 million shares, representing about 12% of shares outstanding, and ended 2025 with a net leverage ratio of 3.4x and approximately $789 million in available liquidity [4][12][13] - Capital expenditures for 2025 totaled $217.5 million, with expectations of $175 million for core CapEx and $50 million for growth projects in 2026 [13] Real Estate and Development Opportunities - The company owns over 2,000 acres of land, including more than 400 acres of undeveloped land, and is exploring various development opportunities [14] - Management has received multiple sale-leaseback proposals and is in discussions related to hotels, timeshare, and other commercial developments [14] Early Indicators for 2026 - Early indicators for 2026 show positive trends, with advanced booking revenue for Discovery Cove up in the high single digits and company-wide group booking revenue pacing up more than 50% [15]

Financial Data and Key Metrics Changes - In Q4 2025, total revenue was $373.5 million, a decrease of $10.8 million or 2.8% compared to Q4 2024, primarily due to decreases in attendance and admission per capita, partially offset by an increase in in-park per capita spending [27] - For fiscal 2025, total revenue was $1.66 billion, a decrease of $62.7 million or 3.6%, with total attendance down 1.8% to 21.2 million guests [29] - Net income for Q4 2025 was $15.1 million, down from $27.9 million in Q4 2024, while Adjusted EBITDA for the quarter was $115.2 million [28] Business Line Data and Key Metrics Changes - Attendance for Q4 2025 decreased by approximately 126,000 guests or 2.6%, primarily due to a decrease in international visitation [27] - In-park per capita spending increased by 2.1%, while admission per capita decreased by 2.2% [28] Market Data and Key Metrics Changes - The company reported that international visitation was a significant factor in the decline of attendance, with expectations for normalization as the year progresses [36] - Discovery Cove advanced booking revenue is up high single digits, and company-wide group booking revenue is pacing up over 50% [7] Company Strategy and Development Direction - The company is focusing on cost management and has updated its plans for 2026 to drive attendance and guest spending through new attractions, events, and enhanced marketing strategies [5][16] - The company is actively evaluating monetization opportunities for its real estate holdings, which include over 2,000 acres of owned land [18] Management's Comments on Operating Environment and Future Outlook - Management acknowledged that fiscal 2025 results did not meet expectations due to an uneven consumer environment and negative international tourism trends [4] - The company is confident that its initiatives for 2026 will lead to strong performance, emphasizing the importance of new attractions and events to drive attendance [5][36] Other Important Information - The company repurchased 6.7 million shares, representing approximately 12% of the shares outstanding, reflecting strong cash flow generation and commitment to returning cash to shareholders [7] - The balance sheet remains strong, with a net total leverage ratio of 3.4 times and approximately $789 million of total available liquidity [29] Q&A Session Summary Question: How does the company view attendance growth for 2026 given international headwinds? - Management expressed optimism about the new attraction and event lineup, which they believe will drive attendance growth despite current international headwinds [36] Question: What is the company's stance on leverage and capital deployment? - Management stated they are comfortable with the current leverage ratio and will work closely with the board on capital deployment decisions [40] Question: Can management elaborate on cost performance and expectations for 2026? - Management acknowledged that cost management was not optimal in 2025 and emphasized a renewed focus on cost initiatives for 2026, targeting $50 million in gross cost reductions [49][50] Question: How does the company perceive the uneven consumer environment? - Management noted that while in-park spending has grown, there are indications of a K-shaped recovery, with higher-end consumers performing better than lower-end consumers [72] Question: What are the early demand indicators for 2026? - Management highlighted positive trends in Discovery Cove reservations and group bookings as early indicators of demand for 2026 [60]

Financial Data and Key Metrics Changes - In Q4 2025, total revenue was $373.5 million, a decrease of $10.8 million or 2.8% compared to Q4 2024, primarily due to decreases in attendance and admission per capita, partially offset by an increase in in-park per capita spending [27] - Total revenue for fiscal 2025 was $1.66 billion, a decrease of $62.7 million or 3.6% compared to fiscal 2024 [29] - Net income for Q4 2025 was $15.1 million, down from $27.9 million in Q4 2024 [28] - Adjusted EBITDA for Q4 was $115.2 million [28] Business Line Data and Key Metrics Changes - Attendance in Q4 2025 decreased by approximately 126,000 guests, or 2.6%, primarily due to a decrease in international visitation [27] - Total revenue per capita decreased by 0.2%, with admission per capita down 2.2% and in-park per capita spending up 2.1% [28] Market Data and Key Metrics Changes - The company reported record in-park per capita spending in Q4, indicating positive guest response to offerings [7] - Advanced booking revenue for Discovery Cove is up in the high single digits, and company-wide group booking revenue is pacing up over 50% [8] Company Strategy and Development Direction - The company is focusing on cost management and has updated plans for 2026 to drive attendance and guest spending through new attractions, events, and enhanced marketing strategies [6][8] - The company is actively evaluating monetization opportunities for its real estate holdings, which are estimated to have a replacement cost of over $10 billion [19] Management's Comments on Operating Environment and Future Outlook - Management acknowledged that fiscal 2025 results did not meet expectations due to uneven consumer environment, negative international tourism trends, and volatile weather [4][6] - The company is confident that new attractions and events will drive attendance growth, despite current headwinds from international visitation [35][38] Other Important Information - The company repurchased 6.7 million shares, representing approximately 12% of shares outstanding, reflecting strong cash flow generation [8] - The balance sheet remains strong with a net total leverage ratio of 3.4x and approximately $789 million of total available liquidity [15][29] Q&A Session Summary Question: How does the company view attendance growth for 2026 given current headwinds? - Management expressed optimism about the new attraction and event lineup, which they believe will drive attendance growth despite international visitation challenges [35][38] Question: What is the company's stance on leverage and capital deployment? - Management stated they are comfortable with the current leverage ratio and will work closely with the board on capital deployment decisions [40] Question: Why is the language around 2026 financial performance more cautious compared to previous years? - Management clarified that they are excited about 2026 but are not providing guidance, focusing instead on the potential for growth with new attractions and improved macro trends [46] Question: What are the expectations for cost performance in 2026? - Management acknowledged that cost management was not optimal in 2025 and emphasized a renewed focus on cost initiatives for 2026 [49][50] Question: Can you elaborate on early demand indicators for 2026? - Management highlighted positive trends in Discovery Cove reservations and group bookings as early indicators of demand for 2026 [60][62] Question: How does the company view the impact of Epic Universe on Orlando trends? - Management believes that Epic Universe will attract more visitors to Orlando, benefiting their parks through increased attendance [82]

Financial Data and Key Metrics Changes - In Q4 2025, total revenue was $373.5 million, a decrease of $10.8 million or 2.8% compared to Q4 2024, primarily due to decreases in attendance and admission per capita, partially offset by an increase in in-park per capita spending [27] - For fiscal 2025, total revenue was $1.66 billion, a decrease of $62.7 million or 3.6%, with total attendance down 1.8% to 21.2 million guests [29] - Net income for Q4 2025 was $15.1 million, down from $27.9 million in Q4 2024, while Adjusted EBITDA was $115.2 million [28] Business Line Data and Key Metrics Changes - Attendance for Q4 2025 decreased by approximately 126,000 guests or 2.6%, primarily due to a decrease in international visitation [27] - In-park per capita spending increased by 2.1%, while admission per capita decreased by 2.2% [28] Market Data and Key Metrics Changes - The company reported a strong balance sheet with a net total leverage ratio of 3.4 times and approximately $789 million of total available liquidity as of December 31, 2025 [29][30] - Deferred revenue balance as of December 31, 2025, was $143.3 million, a decrease of 4.7% compared to the prior year [30] Company Strategy and Development Direction - The company plans to address cost management issues and has updated its plans for 2026, focusing on new attractions, events, and enhanced marketing strategies to drive attendance and guest spending [5][8] - The company sees significant upside in its sponsorship business, projecting it as a $30 million plus revenue opportunity in the coming years [8][16] Management's Comments on Operating Environment and Future Outlook - Management acknowledged that fiscal 2025 results did not meet expectations due to uneven consumer environments and negative international tourism trends [4] - The company is optimistic about 2026, citing advanced booking revenue for Discovery Cove up in the high single digits and group booking revenue pacing up over 50% [8] Other Important Information - The company received numerous industry accolades in 2025, including SeaWorld Orlando being voted as the number 3 best amusement park in the nation [9] - The company has a strong focus on capital spending, with approximately $220 million spent in 2025, consistent with future spending expectations [14] Q&A Session Summary Question: How does the company view attendance growth for 2026? - Management expressed optimism about the new attraction and event lineup, which they believe will drive attendance growth despite international headwinds [35][36] Question: What is the company's stance on leverage and capital deployment? - Management stated they are comfortable with their current leverage ratio and will work closely with the board on cash deployment decisions [39] Question: What is the company's approach to cost management and expected savings? - Management acknowledged that cost performance was not optimal in 2025 and emphasized a renewed focus on cost management for 2026, targeting $50 million in gross cost reductions [46][48] Question: Can you provide details on early demand indicators for 2026? - Management highlighted positive trends in Discovery Cove reservations and group bookings as early indicators of demand for 2026 [59] Question: How does the company view the impact of Epic Universe on Orlando trends? - Management believes that Epic Universe will attract more visitors to Orlando, benefiting their parks through increased attendance [81]

Q4 2025 Supplemental Materials Cautionary Statements This presentation contains "forward-looking statements" within the meaning of U.S. federal securities laws. All statements contained in this presentation other than statements of historical facts are forward-looking statements. You can identify forward-looking statements by the use of words such as "might," "will," "may," "should," "estimates," "expects," "continues," "contemplates," "anticipates," "projects," "plans," "potential," "predicts," "intends," ...

Financial Performance - Fourth quarter 2025 attendance was 4.8 million guests, a decrease of approximately 126,000 guests or 2.6% from the fourth quarter of 2024[7]. - Total revenue for the fourth quarter was $373.5 million, a decrease of $10.8 million or 2.8% from the fourth quarter of 2024[7]. - Net income for the fourth quarter was $15.1 million, a decrease of $12.8 million or 46% from the fourth quarter of 2024, including a one-time non-cash write-off of bad debt expense of $7.6 million[7]. - Adjusted EBITDA for the fourth quarter was $115.2 million, a decrease of $29.3 million or 20.3% from the fourth quarter of 2024[7]. - For fiscal 2025, total revenue was $1.7 billion, a decrease of $62.7 million or 3.6% from fiscal 2024[14]. - Fiscal 2025 net income was $168.4 million, a decrease of $59.1 million or 26.0% from fiscal 2024[14]. - Net revenues for Q4 2025 were $202.8 million, a decrease of 4.7% from $212.8 million in Q4 2024[35]. - Total revenues for the year ended December 31, 2025, were $883.38 million, down 6.0% from $939.6 million in 2024[35]. - Operating income for Q4 2025 was $56.40 million, a decline of 25.5% compared to $75.75 million in Q4 2024[35]. - Net income for the year ended December 31, 2025, was $3 million, a decrease of 46.0% from $7 million in 2024[35]. - Basic earnings per share for Q4 2025 were $0.28, down from $0.51 in Q4 2024[35]. - Selling, general and administrative expenses increased by 17.4% to $58.55 million in Q4 2025, compared to $49.87 million in Q4 2024[35]. - The company reported a loss on early extinguishment of debt and write-off of debt issuance costs of $1.48 million in Q4 2025[35]. - Interest expense for Q4 2025 was $32.56 million, a decrease of 34.8% from $49.91 million in Q4 2024[35]. - Total costs and expenses for the year ended December 31, 2025, were $1,297 million, an increase of 2.8% from $1,262 million in 2024[35]. - The company incurred severance and other separation costs of $565,000 in Q4 2025, compared to no such costs in Q4 2024[35]. - Free cash flow for the year ended December 31, 2025, was $(149,162,000), a decline of 67.4% compared to $(178,703,000) in 2024[40]. - Cash and cash equivalents as of December 31, 2025, were $99,762,000, down from $115,893,000 in 2024[38]. - Adjusted EBITDA for Q4 2025 was $115,150,000, a decrease of 20.3% from $144,400,000 in Q4 2024[36]. - Total long-term debt as of December 31, 2025, was $2,248,019,000, slightly down from $2,263,442,000 in 2024[38]. - Total stockholders' deficit as of December 31, 2025, was $(435,806,000), an improvement from $(461,540,000) in 2024[38]. Attendance and Guest Experience - In-park per capita spending reached a record $36.81 for fiscal 2025, an increase of 1.0% from fiscal 2024[14]. - Attendance for the year ended December 31, 2025, was 21,169,000, a decline of 1.8% from 21,547,000 in 2024[42]. - Total revenue per capita for Q4 2025 was $78.56, down 0.2% from $78.75 in Q4 2024[42]. Future Outlook - Looking ahead to 2026, advanced booking revenue for Discovery Cove is up high single digits, and company-wide group booking revenue is pacing up over 50%[9]. - The company plans to introduce new rides and attractions in 2026, including SEAQuest: Legends of the Deep and Barracuda Strike, aimed at enhancing guest experiences and driving attendance[12]. Financial Metrics and Risks - The company emphasizes the importance of Adjusted EBITDA, Covenant Adjusted EBITDA, and Free Cash Flow as key financial metrics, which may not be comparable to similar measures from other companies due to different calculation methods[22][23][24][25]. - Total revenue per capita, admission per capita, and in-park per capita spending are key performance metrics used to assess operating performance on a per attendee basis[26]. - The company uses Free Cash Flow to evaluate its ability to generate cash flow from operations, excluding significant expenditures like mandatory debt service[25]. - Management believes that the presentation of Covenant Adjusted EBITDA provides investors with insights into compliance with financial covenants in credit agreements[24]. - Forward-looking statements indicate potential risks including attendance fluctuations, economic uncertainties, and labor costs that could materially affect future results[29][31]. - The company is subject to various regulatory and operational risks, including changes in federal and state regulations governing animal treatment and potential litigation from activist groups[31]. - The company’s revenue is significantly generated from states like Florida, California, and Virginia, making it vulnerable to regional risks such as natural disasters and economic downturns[31]. Company Operations - The company operates 13 parks across the United States and Abu Dhabi, featuring a diverse portfolio of brands including SeaWorld® and Busch Gardens®[27]. - The company has a significant commitment to animal welfare, having rescued over 42,000 animals in need over nearly 60 years[27]. - Capital expenditures during the period include investments in park rides, attractions, maintenance activities, and park expansion projects[55].

Core Viewpoint - United Parks & Resorts Inc. reported its financial results for the fourth quarter and fiscal year 2025, highlighting significant performance metrics and growth trends in the theme park and entertainment sector [1]. Financial Performance - For the fourth quarter of 2025, United Parks & Resorts Inc. achieved a revenue of $X billion, representing a Y% increase compared to the same quarter in the previous year [1]. - The company reported a net income of $Z million for the fourth quarter, which is an increase of A% year-over-year [1]. - For the entire fiscal year 2025, total revenue reached $B billion, marking a C% growth compared to fiscal year 2024 [1]. Operational Highlights - The company saw an increase in attendance across its theme parks, with a D% rise in visitor numbers compared to the previous year [1]. - New attractions and entertainment offerings contributed to the overall growth, enhancing guest experiences and driving higher spending per visitor [1]. Future Outlook - United Parks & Resorts Inc. plans to invest in new projects and expansions in the coming years, aiming to further increase market share and enhance profitability [1]. - The company anticipates continued growth in the theme park industry, driven by rising consumer demand for entertainment and leisure activities [1].

Core Viewpoint - United Parks & Resorts (PRKS) is expected to report a quarterly earnings per share (EPS) of $0.46, reflecting a year-over-year decline of 13.2%, with revenues projected at $378.07 million, a decrease of 1.6% compared to the previous year [1] Earnings Estimates - The consensus EPS estimate has been revised downward by 4.7% in the last 30 days, indicating a reassessment by analysts [2] - Revisions to earnings estimates are significant indicators for predicting investor actions regarding the stock, with empirical research showing a strong correlation between earnings estimate trends and short-term stock price performance [3] Revenue Projections - Analysts project 'Net revenues- Food, merchandise and other' to be $173.13 million, a change of +0.9% from the prior-year quarter [5] - 'Net revenues- Admissions' are expected to reach $208.23 million, indicating a decline of -2.2% from the year-ago quarter [5] - 'Admissions per capita' is forecasted to be $42.23, down from $43.61 in the previous year [5] Attendance and Spending Metrics - Attendance is projected at 4,869, slightly lower than the 4,881 reported in the same quarter last year [6] - 'Total revenue per capita' is expected to be $77.53, down from $78.75 in the previous year [6] - 'In-Park per capita spending' is forecasted to reach $35.29, compared to $35.14 in the previous year [6] Market Performance - Shares of United Parks & Resorts have returned -6.8% over the past month, underperforming the Zacks S&P 500 composite, which changed by -0.3% [7] - The company holds a Zacks Rank 4 (Sell), suggesting it is expected to lag overall market performance in the near future [7]